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Why Invest In Dubai – Top Reasons

invest in Dubai
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Dubai has capitalised on its variety, contrasts, and geographical position. With a tremendous evolution over the years, the city is currently regarded as an international corporate centre and a cosmopolitan retail and leisure destination. It is enticing to invest in Dubai for foreign investors because it has excellent access to key markets such as Asia, Africa, and the Middle East and an excellent connection to major international commercial hubs in America and Europe. This article will explain the primary reasons for investment in Dubai. Let us get started.

Top Reasons To Invest In Dubai

1. Tax haven

At first, one of the primary reasons of why invest in Dubai, particularly in the real estate industry, is the absence of property tax. Even though VAT was implemented recently, it is still insignificant in overall prices and does not apply to residential property transactions. So you may buy a villa or apartment anywhere in the city and be confident that you will not have to give up a share of your annual profits.

2. Fast Growing Economy

Another fundamental reason to invest in Dubai is its economy. Another significant advantage of purchasing property in Dubai is that it benefits tremendously from its thriving economy. Being a strategic crossroads between East and West, Dubai acts as a critical regional centre for enterprises looking to develop in either or both directions.

Internation investment in Dubai draws more diversity and a stable economy, with money earned from tourism to trade. The government’s endeavour to promote Dubai as the heartbeat of industry and trade in the MENA region has resulted in significant improvements and exceptional capital growth. Dubai has become the leading economic hub in the Middle East, whether through Free Zones or Expo 2020.

3. Safe Investment

Are you wondering how to invest in Dubai when we have taxation? Investors in Dubai are free from taxes when buying house investments because the emirate has no yearly property tax, income tax, or capital gains tax, making it the ideal city to invest in real estate. After purchasing a property, owners will pay no extra or recurring taxes in the future, simply the one-time property transaction and registration costs.

This makes houses in Dubai extremely reasonable and, more importantly, profitable compared to other big cities enriched with periodic taxes.

Though the corporation tax will be implemented, the real estate market has remained untouched, so you may buy a house in Dubai with confidence that you will not have to continue paying a percentage of your profits!

4. Many Opportunities With High ROI

Real estate can be a small investment in Dubai. It provides a high return on investment, substantially more than comparable London and New York locations. It is a rewarding experience since Dubai usually offers appealing properties in popular regions that give excellent profits.

Due to the lack of property taxes, investing in a Dubai property might produce a significant investment return. Offering one of the most substantial returns on investment, you may expect returns of more than 6%, with double digits in essential communities.

Furthermore, Dubai property prices are rising, resulting in a considerable profit for investors. According to a recent UBS research, the Dubai Property Market is one of the world’s only undervalued markets compared to big cities such as Hong Kong, New York, and Paris. With this in mind, selling the property and then reinvesting in the future can quickly provide a good profit.

5. Great Infrastructure

One of the most crucial things to understand is why to invest in real estate business in 2022, given the ongoing increases in development. Dubai is one of those places with excellent infrastructure and a high level of living improvement.

Dubai is home to some of the world’s largest, tallest, and swankiest structures, including the Burj Khalifa and the most beautiful artificial island. In terms of international passenger volume, Dubai International Airport claimed to be one of the busiest in the world just before the Covid-19-induced pandemic that resulted in lockdown. Jabel Ali Port is the world’s largest artificial port for seaports. These are compelling reasons for any astute investor to consider investing in Dubai.

6. Smooth Investor Visa

Lately, the UAE has introduced many visa incentives for real estate investors. With as little as AED 1 million in investment, you may now qualify for a 2-year resident visa in Dubai. To help investors in Dubai, the UAE has started issuing ‘golden visas,’ which are 10-year renewable visas to business people who have made a cumulative investment of AED 2 Million.

A recently approved rule allows international employees to bring their families to Dubai and sponsor their visas. A minimum salary of Dh4,000 or Dh3,000 plus accommodation costs is necessary to get your wife under sponsorship. In addition, the UAE provides visa-free entrance to over 60 countries and many visa-on-arrival programmes for the remaining nations.

7. 100% Foreign Ownership

The UAE government has always supported an innovative approach to business, which has increased the value proposition of Dubai to investors. Implementing investor-friendly regulations such as five-year retirement visas, long-term visas for investors, and 100 per cent foreign ownership of most businesses have consistently increased trust among foreign investors.

8. Top Tourism Sector

Even though more individuals have moved to Dubai as long-term residents in recent years, it remains one of its top tourist destinations. There is no shortage of wonders to explore with world-class sites, including the Burj Khalifa, Palm Jumeirah, and some of the world’s most prestigious hotels. Even though Expo 2020 ended, Dubai will continue to expand its lifestyle offerings to keep visitors visiting.

9. Tourist Attraction

Dubai welcomed 16.73 million foreign overnight visitors in 2019, according to the Department of Tourism and Commerce Marketing (Dubai Tourism). Dubai expects more than 20 million visitors by 2020, with a budget of $56 billion by 2022. However, Covid-19 disrupted the travel business worldwide, affecting everyone’s plans. Dubai welcomed worldwide visitors on New Year’s Eve 2021, but things did not go smoothly, and there was a rapid increase in corona cases.

Did you know that Dubai is home to 7/10 of the world’s tallest hotels? Dubai is a worldwide destination that attracts high-net-worth individuals seeking one-of-a-kind experiences. Dubai caters to people with diversified preferences, offering outlets to expose the colourful high-life and food that tantalises the taste senses.

10. Strategic Location

The UAE has various appealing and strategic commercial sites, especially when you invest in Dubai. These sites are divided into three categories: Mainland, Free Zones, and Offshore. Furthermore, each of these places has unique qualities that make them more appealing to some types of investors and less attractive to others. As a result, before launching a business in Dubai, business owners must be sure of their business concept.

11. Easy Import And Export

Dubai has set its sights on the top spot on the Global Food Security Index. Because a large portion of the city’s food is imported, the city places a high value on food security. This has cleared the way for technological breakthroughs like hydroponics, vertical farming, aeroponics, etc.

12. Shopping Destination

Dubai is home to some of the world’s largest malls, which feature the newest trends and draw shoppers worldwide.

The emirate, which presently has the world’s largest retail mall, the Dubai Mall, will add more than 1.5 million sq. m. of additional shop space. While investing in Dubai, you should know that it also ranks high in new market entries, having welcomed 57 new retail brands last year, more than half of which were European brand names, mainly from the Coffee and Restaurant categories.

13. World Global Events

Dubailand is projected to become a key entertainment destination in the following years, promoting tourism. It is home to some of the world’s most popular attractions, including the Dubai Outlet Mall, Global Village, Motor City, and several academies and athletic events.

The Damac Golf Vita is one of the area’s most prominent developments by major real estate developers. Other projects are:

  • Jumeirah Lake Towers
  • Business Bay
  • Barsha Heights

14. Funding Opportunity

With various scholarships, technological conferences, and pitching contests, this country is taking significant strides to become the east’s Silicon Valley. When you invest in Dubai, you can have a massive network of incubators that help startups grow from a concept to fully-fledged businesses.

Incubators provide ideal conditions for small and medium-sized firms by providing early finance, working facilities, training programmes, workshops, and access to investors.

15. City Of Innovation

Dubai is constantly looking to the future and attempting to bring it into the present. New neighbourhoods are being established to provide a more sustainable living experience for people. New motorways are being built to keep the city better linked. Dubai strives to make every element of life in the city hassle-free with its ongoing smart city’ ‘happiness’ projects. There are also architectural marvels like Dubai Creek Structure, which will ultimately dwarf the Burj Khalifa. Dubai Frame is a 150-meter-tall ‘picture frame’ tower that offers a visual link between the city’s ancient and newest areas.

16. Safety And Stability

The safety of Dubai is critical in luring more expats and investors to the emirate. Aside from effectively controlling the global covid-19 epidemic, Dubai is recognised as one of the safest locations to live in, with a meagre crime rate and an efficient judicial system, owing to the necessary security measures.

In terms of real estate investment, when you invest in Dubai, you have a solid regulatory system to safeguard your investment interests. Dubai also has the most open and regulated property market in the MENA area, attracting investors since they know their money is safe.

17. Quality Of Life

Due to its outstanding quality of life, Dubai is the finest investment location. With world-class eating places, a lavish lifestyle, magnificent beaches, connectivity, and cutting-edge entertainment and recreational facilities, it’s easy to see why investing in Dubai is a refuge for foreigners!

In terms of real estate in Dubai, numerous developers have a rising inventory, delivering spectacular residences in emerging and attractive neighbourhoods. One of its essential virtues is that it is relatively inexpensive compared to other large cities, implying that there is something for everyone regardless of their budget.

18. Greatest Talents

Dubai is known worldwide for its gorgeous sea vistas, spectacular skyline, and wealth of hospitality and recreational options. It also has some of the most innovative and promising infrastructures. Year after year, increasing possibilities in numerous areas lure foreign talent to Dubai.

The UAE government’s unprecedented decision to allow foreigners to own 100% of their property has resulted in an exponential increase in the Dubai property market, with many expats investing in Dubai property.

19. Cosmopolitan City

We’re all aware that Dubai is a global city where individuals from over 200 nations come to further their professions and enterprises. Because the city’s population is continuously rising, the demand for properties is increasing quickly to match this growth, bringing additional investment possibilities to Dubai.

In reality, Dubai’s present population of roughly 3.5 million people is expected to nearly double in 20 years, coinciding with the completion of Dubai’s 2040 Urban Master Plan. Despite the covid-19 setback, which led to an 8.4 per cent population loss, the city’s population recovered quickly, and it is now 100,000 greater than it was in January 2020.

With a rapidly rising population resulting from thousands of expats from all over the world migrating to Dubai each year, it’s no wonder that investors are flocking to the city.

Why Invest In Dubai?

You can invest in Dubai for its gorgeous sea vistas, spectacular skyline, and wealth of hospitality and recreational options. Among various benefits of investing in Dubai, the state has some of the most innovative and promising infrastructures. Year after year, increasing possibilities in numerous areas lure foreign talent to Dubai.

The UAE government’s unprecedented decision to allow foreigners to own 100% of their property has resulted in an exponential increase in the Dubai property market, with many expats investing in Dubai property.

What Are The Top Investment Sectors In Dubai?

Dubai investors consider Dubai a centric Middle East for a good reason. Dubai is the world’s most cosmopolitan destination, with foreign residents accounting for around 83 per cent of the population.

To find a profitable investment opportunity in Dubai, you must first determine which industries are prime for investment. To make the best investment in Dubai, here are the key sectors:

  • Real Estate
  • Travel and Tourism
  • Hospitality
  • Trading
  • Agritech
  • Cloud Computing
  • Augmented Reality & Virtual Reality (AR/VR)

How Avyanco Can Help You?

To get the full benefits of Dubai, it is recommended that you use company setup advisors that are well-versed in the business setup procedure.

Avyanco is the gold standard for company setup consultants available 24×7 for your assistance in investing in Dubai. We have assisted several clients in incorporating their firms in Dubai and around the UAE. Our business advisers are intelligent and well-versed in navigating the challenging route of company creation. Reach out to us to know more.


About the Author


Jashvantkumar Prajapati

(Founder and CEO of Avyanco Group of Companies; Business Setup Consultancy, Avyanco Tax and Accounting LLC, and Avyanco Auditing LLC.)

He keeps a varied portfolio with core expertise in investment management, corporate structuring, commercial law, business consultancy, lead management, business planning and market research. Aspire to help potential entrepreneurs and investors to come ahead and form their companies in highly emerging economies like UAE.